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<br>Historic political [shake-up](https://www.greatestofalllives.com) of region motivating investors<br> |
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<br>Ceasefire anticipated to take [pressure](https://mexicodesconocidoviajes.mx) off Israel's finances<br> |
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<br>Major funds increasing positions in Egypt<br> |
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<br>Expects resolution of [Lebanon's crisis](http://riojavioleta.com) increasing its bonds<br> |
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<br>(Recasts heading, includes emergency situation Arab top in [paragraph](http://ajsa.fr) 8)<br> |
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<br>By [Marc Jones](http://yagascafe.com) and Steven Scheer<br> |
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<br>LONDON/JERUSALEM, Feb 9 (Reuters) - A [historic shake-up](https://shiatube.org) of the Middle East is starting to draw global investors, [pipewiki.org](https://pipewiki.org/wiki/index.php/User:RobertoN34) warming to the prospects of [relative peace](https://rauma.uusitoivo.fi) and financial healing after a lot chaos.<br> |
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<br>President Donald Trump's proposition that the U.S. take control of Gaza may have thrown a curveball into the mix, however the vulnerable ceasefire in the Israel-Hamas war, Bashar al-Assad's ouster from Syria, a weakened Iran and a new federal government in Lebanon have actually [fed hopes](https://www.southernstreetstuds.net) of a reset.<br> |
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<br>Egypt, the [region's](https://www.guidancetaxdebt.com) most populous country and a crucial arbitrator in the recent peace talks, has actually just managed its very first dollar [debt sale](https://www.munchsupply.com) in 4 years. Not too long ago it was dealing with economic meltdown.<br> |
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<br>Investors have actually [begun buying](https://habitatbay.org) up Israel's bonds again, and those of Lebanon, wagering that Beirut can finally [start repairing](https://ytegiare.com) its linked political, financial and [monetary crises](https://fliesen-kroes.de).<br> |
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<br>"The last couple of months have very much improved the area and embeded in play a very various dynamic in a best-case situation," [Charlie](https://www.raumausstattung-schlegel.de) Robertson, a veteran emerging market expert at FIM Partners, said.<br> |
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<br>The concern is whether Trump's prepare for Gaza irritates tensions again, he added.<br> |
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<br>Trump's call to "clean up out" Gaza and [produce](https://www.mapleroadinc.com) a "Riviera of the Middle East" in the [enclave](https://www.radiostres.com) was met [worldwide condemnation](https://www.onlineekhabar.com).<br> |
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<br>[Reacting](http://kutyahaz.ardoboz.hu) to the uproar, Egypt said on Sunday it would host an emergency Arab top on February 27 to [discuss](https://www.munchsupply.com) what it explained as "serious" advancements for Palestinians.<br> |
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<br>[Credit rating](https://theallanebusinessplace.com) firm S&P Global has indicated it will get rid of Israel's downgrade warning if the ceasefire lasts. It acknowledges the intricacies, however it is a welcome possibility as Israel prepares its very first major debt sale since the truce was signed.<br> |
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<br>(UN)PREDICTABILITY<br> |
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<br>Michael Fertik, a U.S. [endeavor capitalist](https://reedsburgtogo.bravesites.com) and CEO of artificial intelligence [company Modelcode](http://140.82.32.174).[ai](http://funnydollar.ru), said the easing of stress had actually added to his [decision](http://39.108.83.1543000) to open an Israeli subsidiary.<br> |
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<br>He is eager to work with knowledgeable regional software developers, but [geopolitics](https://shop.binowl.com) have actually been an element too.<br> |
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<br>"With Trump in the White House, nobody doubts the United States has Israel ´ s back in a fight," he said, explaining how it supplied predictability even if the war [re-ignites](https://xzeromedia.com).<br> |
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<br>Having mainly [remained](https://gittea.dev) away when Israel increase costs on the war, [bond investors](https://www.monbiopharm.mn) are likewise starting to come back, [main bank](https://tahaibrahim.edublogs.org) information programs.<br> |
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<br>Economy Minister Nir Barkat informed Reuters in an interview last month that he will be [seeking](https://lefrigographique.com) a more generous spending bundle focusing on "vibrant economic development."<br> |
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<br>The snag for [stock investors](https://candynow.nl) however, is that Israel was one of the finest carrying out markets on the planet in the 18 months after the October 7, 2023 attacks. Since the [ceasefire -](http://gaf-clan.com) which has actually corresponded with a [substantial U](https://sondezar.com).S. tech selloff - it has remained in [retreat](https://www.hooled.it).<br> |
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<br>"During 2024, I believe we discovered that the marketplace is not truly afraid of the war however rather the internal political conflict and tensions," said Sabina Levy, head of research study at [Leader Capital](http://41.111.206.1753000) Markets in Tel Aviv.<br> |
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<br>And if the ceasefire buckles? "It is sensible to presume a negative response."<br> |
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<br>Some financiers have actually already [reacted badly](https://jobs.thelocalgirl.com) to Trump's surprise Gaza [relocation](https://www.miviral.in).<br> |
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<br>Yerlan Syzdykov, head of emerging markets at Europe's [biggest possession](https://sigmaphiepsilonindianatech.dynamic.omegafi.com) supervisor Amundi, said his firm had actually purchased up Egypt's bonds after the ceasefire deal, however Trump's strategy - which visualizes Cairo and Jordan accepting 2 million Palestinian refugees - has actually changed that.<br> |
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<br>Both countries have baulked at Trump's idea but the danger is, Syzdykov explained, that the U.S. president uses Egypt's dependence on bilateral and IMF support to [attempt](http://cgi.www5f.biglobe.ne.jp) to [strong arm](https://safechina.ru) the country given its recent brush with a [full-blown financial](http://essnormandie.org) crisis.<br> |
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<br>Reducing the attacks by [Yemen's Houthi](http://82.156.24.19310098) [fighters](http://www.sustainable-everyday-project.net) on ships in the Red Sea also remains vital. The nation lost $7 billion - more than 60% - of its Suez Canal revenues last year as shippers diverted around Africa instead of [danger ambush](http://carpediem.so30000).<br> |
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<br>"Markets are unlikely to like the concept of Egypt losing such (bilateral and multilateral) assistance, and we are taking a more mindful position to see how these settlements will unfold," [Syzdykov](http://www.team-quaisser.de) said.<br> |
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<br>REBUILD AND RESTRUCTURE<br> |
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<br>Others expect the [rebuilding](https://www.yunvideo.com) of bombed homes and facilities in Syria and in other places to be an opportunity for Turkey's heavyweight building and construction companies.<br> |
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<br>Trump's Middle East envoy, Steve Witkoff, has said it could take 10 to 15 years to rebuild Gaza. The World Bank, meanwhile, puts Lebanon's damage at $8.5 billion, approximately 35% of its GDP.<br> |
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<br>[Beirut's default-stricken](https://www.radiostres.com) bonds more than doubled in cost when it ended up being clear in September that Hezbollah's grip in Lebanon was being compromised and have actually [continued](https://score808.us) to rise on hopes the [country's crisis](http://apshenghai.com) is attended to.<br> |
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<br>Lebanon's new [President Michel](http://208.167.242.1503000) Aoun's very first state check out will be to Saudi Arabia, a country seen as a potential crucial supporter, and one that most likely sees this as a chance to further get rid of Lebanon from of impact.<br> |
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<br>Bondholders state there have been initial contacts with the [brand-new authorities](https://www.steeldirectory.net) too.<br> |
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<br>"Lebanon could be a huge story in 2025 if we make development towards a financial obligation restructuring," Magda Branet, head of emerging markets repaired earnings at AXA Investment Managers, said.<br> |
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<br>"It is not going to be easy" though she included, provided the country's [performance](http://www.mp-ingenieurs.lu) history, the $45 billion of financial obligation that requires reworking and that Lebanese savers could see some of their cash seized by the federal government as part of the strategy.<br> |
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<br>(Reporting by [Marc Jones](http://www.kitchenofpalestine.com) and Steve Scheer |
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